After one of its worst opening quarters in years, 3M says it will be laying off two thousand workers as part of a company-wide restructuring…but this setback isn’t expected to have any major effect on operations at the company’s Knoxville plant.
3M says it will be eliminating the positions through voluntary departures and involuntary dismissals.
The company earned $7.9 billion dollars, down five percent for the first quarter.
Locally, Knoxville plant manager Tom Busalewski says their operations have been performing well for years; the company has authorized an expansion, and they are currently hiring personnel.
Busalewski tells KNIA/KRLS News he doesn’t think there will be a noticeable impact at his plant.
“For us in Knoxville, I’m not exactly sure what that means; but we…based on the expansion and the history of the plant, we have a strong record of contributing to the company’s success as well as some product lines that are growing very vibrantly,” Busalewski says.
“I’m still pretty confident in the future of Knoxville here, the Knoxville plant.”
3M stock fell nearly thirteen percent on Thursday after the company announced it was reducing its outlook and making the employment changes; this cutback is expected to save the company around $225 to $250 million before taxes.
The company is also realigning its portfolio from five business groups to four.